Bhubaneswar: The ruling BJP in Odisha Monday claimed the state would not lose any revenue from the recently passed Mines and Minerals (Development and Regulation) Amendment Bill, 2026, but would instead benefit from a more competitive mining market.
The assertion came as the Opposition BJD and Congress prepared to launch protests against the legislation, alleging that it would undermine Odisha’s financial autonomy and reduce the state’s powers over its mineral-rich areas.
BJD president Naveen Patnaik and Odisha Pradesh Congress Committee (OPCC) president Bhakta Charan Das have demanded an all-party meeting and a special session of the state Assembly to discuss the legislation’s possible impact on the state’s economy.
The BJD has claimed that Odisha could lose around Rs 12,000 crore annually if the legislation is implemented.
Rejecting the allegation, BJP spokesperson Anil Biswal said, “The new amendment will not in any way cause a single rupee of revenue loss to Odisha, but will provide more revenue in the competitive market.”
Biswal said Odisha received only around Rs 5,000 crore in mining royalty in 2013 during the Congress regime, while the figure rose to Rs 48,000 crore annually under the NDA government after the MMDR Act was amended in 2015.
“The state received windfall gains due to auction of mineral resources in a transparent manner, which was not possible earlier during the Congress rule,” he said.
He said the premium auction system had resulted in mines being auctioned at higher prices, benefiting state governments.
The District Mineral Foundation (DMF), introduced under the BJP-led government, was also providing an additional Rs 8,000-10,000 crore annually directly to mining districts for local development, Biswal claimed.
“If the BJD and Congress were really so concerned about the interests of the state, they should explain why the revenue collection was low during their rule and whose pocket that money was going to?” he asked.
Biswal said the amended law would bring a “stable, clear regulatory system” to the mining sector and make the Indian mining industry more competitive.
He said the legislation would also accelerate exploration and production of critical and strategic minerals essential for the country.
Following its implementation, raw materials required by industries such as semiconductors would be available to manufacturers across the country at the same price, he claimed, adding that the move would encourage investment, industrial development, employment and long-term economic growth.
Senior Congress leader and former finance minister Panchanan Kanungo, however, rejected the BJP’s claims.
“During the Congress regime, the international price of iron ore was only between Rs 200 and Rs 300 per tonne. Later, it reached Rs 3,000 to Rs 4,000 per tonne. Therefore, there is no surprise that mineral royalty revenue increased,” Kanungo said.
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